Tech Mahindra Ltd has signed an agreement to acquire German chemicals giant BASF’s IT solutions arm which deals with third-party clients for an undisclosed amount, as per a stock market disclosure.
As part of the deal, its German arm Tech Mahindra GmbH has signed an agreement with BASF Business Services Holding GmbH to acquire its subsidiary BASF Business Services Consult GmbH.
The transaction is in line with Tech Mahindra’s strategy to strengthen its footprint in Europe and as a part of the transaction, all 60 employees of BASF Business Services Consult will be transitioned to Tech Mahindra. The deal is expected to close in the first quarter of FY 2015. The firm did not disclose the revenues of this business unit.
"This is a strategic move and a testimony of our commitment to the region. It will bring us closer to our customers and will help us deliver holistic solutions," said Vikram Nair, head - Europe, Tech Mahindra.
BASF Business Services Holding will continue to focus on providing information services, supply chain operations and business process management for parent BASF.
BASF Business Services Holding GmbH (earlier known as BASF IT Services Holding GmbH) is an indirect wholly owned group company of BASF SE. Its services portfolio include consulting, development and operation of IT systems to the design and optimisation of business processes throughout the value chain. BASF is a chemical company and its portfolio ranges from chemicals, plastics, performance products and crop protection products to oil and gas.
Last year in April, Tech Mahindra acquired Sony Mobile Communication's Type Approval Lab. In 2012, it acquired Comviva Technologies Ltd, Hutchison Global Services Pvt Ltd and it also merged a few other firms including Mahindra Satyam with itself.
(Edited by Joby Puthuparampil Johnson)
